Percentage financial statement

Percentage financial statement

Balance sheet and income statement represented as percentages.

Percentage Financial Statement

A financial statement in which items are represented as percentages of the whole rather than as dollar amounts. A percentage financial statement can be useful because it allows a current or potential investor to investigate the underlying structure of a company rather than raw numbers. That is, if a company has $30 million in debt, this does not necessarily tell the investor too much. However, if that $30 million is 70% of the company's book value, the investor knows that the company is likely high risk.